Crypto Exchange CoinFLEX Reopens User Withdrawals

CoinFLEX, a crypto exchange, is resuming the customer withdrawals in some measure, gathering cautious optimism in the favor of the firm, mentioning that it was gradually coping with the liquidity constraints caused on the behalf of notorious consumer default.
Starting on the previous Friday, the entirety of the consumers connected to CoinFLEX will be capable of withdrawing nearly ten percent of the funds in their possession, whereas the other 90% of their deposits will remain locked, as asserted by the firm. All of the present requests made for withdrawals will be discarded and no permission will be given to any of the customers, enabling the clients to start exclusive requests per the pre-set limit of ten percent.
In this way, the users’ ninety percent balances are to be categorized as locked funds, or the funds that will appear on the balance thereof however they will not be able to withdraw them or use them as collateral. The latest instructions are to be implemented on the entirety of the assets excluding flexUSD (known as a stablecoin which bears interest) as further notice of the platform is required to withdraw it, in the words of the venue.
A stop was put on these withdrawals by CoinFLEX on 23rd June following a reported failure of a counterparty in accomplishing a margin call of up to $47M. Roger Ver – a noticeable entrepreneur as well as an advocate for Bitcoin Cash (BCH) – was later referred to as the very counterparty, although he refuted having owed any funds to the company. To respond to such allegations raised against him, the entrepreneur asserted in a Twitter post on 28th June that the company was wrong in accusing him rather the respective counter-party owes him funds in a great amount and he is presently pursuing to get his funds back.
After that, some estimates brought to the front that the shortfall of CoinFLEX was extreme and it reached more than $84M, known as a sum that the firm expected to get back through launching an arbitration process in Hong Kong jurisdiction (its local dominion). The bear market that has been prolonged throughout the recent months during this year has shaken the whole industry of cryptocurrency in several ways following the collapse of the Terra ecosystem which was responsible for causing substantial contagion as well as volatility throughout the decentralized space.
At Tokenhell, we help over 5,000 crypto companies amplify their content reach—and you can join them! For inquiries, reach out to us at info@tokenhell.com. Please remember, cryptocurrencies are highly volatile assets. Always conduct thorough research before making any investment decisions. Some content on this website, including posts under Crypto Cable, Sponsored Articles, and Press Releases, is provided by guest contributors or paid sponsors. The views expressed in these posts do not necessarily represent the opinions of Tokenhell. We are not responsible for the accuracy, quality, or reliability of any third-party content, advertisements, products, or banners featured on this site. For more details, please review our full terms and conditions / disclaimer.